11.04.2017.

SMEs – Corbyn targets late payments.

The Labour leader Jeremy Corbyn is promising to tackle the culture of late payments which is forcing more than 50,000 small firms out of business every year. Speaking at the Federation of Small Businesses, he will accuse businesses of using their suppliers as a source of interest free capital. He will propose a new system of binding arbitration and fines for persistent late payers. Mr Corbyn will say: “Cash is king for any business, and big companies are managing their cash by borrowing – interest free – from their suppliers. Some of the biggest names in business are holding cash piles that don’t actually belong to them. It’s a national scandal. And it’s stopping businesses from growing and causing thousands to go bust every year. It kills jobs and holds back economic growth.” Mr Corbyn is also expected to use his speech to call for an end to quarterly reporting for small firms.

The Credit Protection Association has no political affiliations but it supports efforts from all parties who seek to help SMEs and tackle late payment.

The Times, Page: 12   The Independent, Page: 5   Independent I, Page: 4   Daily Mirror, Page: 22